US land investment: 2025 guide to diversification

Why diversify your US real estate investment portfolio in 2025?

Property investment in the US is attracting a growing number of French-speaking investors looking to diversify their assets and benefit from returns that are often higher than traditional investments. In an economic climate where European interest rates remain volatile and European taxation is becoming more onerous, many investors are turning to US real estate to build a high-performance, sustainable and geographically-distributed portfolio.

The United States, with its continental size and sustained population growth of +0.4% per year according to the U.S. Census Bureauoffer a highly varied range of land: high-potential agricultural areas, residential plots in fast-growing markets, commercial land in urban areas or logistics... A unique ecosystem where every investor profile can find an opportunity to suit his or her objectives.

Key figures 2025 for your land investment in the US :

Population growth USA: +1.3 million inhabitants per year
Median land price: +8.2% increase in value in 2024
Average land yield: 12-25% depending on segment
Internal migration: 40 million Americans move every year

🔗 Meet the specialists behind land investment operations in the US: LandQuire

Romain Daniellou and Thibaut Guéant are the two founders of LandQuire, the company that is revolutionizing land investment in the United States for French speakers.

👥 The faces behind LandQuire

Based in Miami since 2016, Romain Daniellou has established himself as a benchmark in the acquisition of high-potential land. A specialist in land entitlement and SPV packages, he has structured over 600 investment files, raising more than $40 million from international investors. His expertise covers the entire value chain: sourcing, negotiation, legal structuring and tax optimization.

As for Thibaut Guéant, he draws on his dual expertise: advanced training in finance and an operational background spanning the United States, Latin America and Europe. With a realtor's license in Florida, he oversees development strategy and investor relations. With over 130 completed projects and an average profitability in excess of 20%, he supports each customer with a structured, transparent approach.

Recent customer testimonials:

"Thanks to LandQuire, I've diversified my portfolio with 3 plots in Texas. ROI of 18% on average over 24 months. The support was exemplary." - Pierre M., entrepreneur from Lyon

"Total transparency on costs and deadlines. I was able to invest with peace of mind from Brussels without having to travel." - Marie D., Belgian consultant

Comparative analysis: USA vs Europe vs Canada

To fully understand the attractiveness of the U.S. real estate market, a comparison with other destinations favored by French-speaking investors is in order.

Comparative table of land markets 2025

Criteria	USA	France	Germany	Switzerland	Canada
Average ROI	12-25%	3-6%	4-7%	2-4%	8-15%
Admission ticket	50k-150k	€80k-200k	100k-250k€ for	200k-500k CHF	60k-180k CAD
Total taxation	15-30%	19-45%	26-45%	20-35%	20-35%
Market liquidity	Very high	Average	Average	Low	High
Regulatory barriers	Low	High	High	Very high	Averages
Population growth	+0.4%/year	+0.3%/year	+0.1%/year	+0.7%/year	+1.0%/year
Average resale time	18-36 months	6-12 months	12-24 months	24-60 months	12-30 months

Detailed analysis by market

🇺🇸 United States: The champion of profitability

Strengths: exceptional ROI, mature market of 2 billion acres, unique geographic diversity
Weaknesses: Interstate tax complexity, dollar vs. euro fluctuations
Special feature: 9 states with no income tax (Texas, Florida, Nevada...)

🇫🇷 France: Security vs. yield

Strengths: Legal stability, cultural and linguistic knowledge
Weaknesses: One of the highest tax rates in Europe (45% marginal rate), low yields
Reality 2025: Farmland price at €6,100/hectare (+3.1% in 2024)

Germany: Stability and demand

Strengths: Robust economy, strong structural rental demand
Weaknesses: High entry prices, complex bureaucracy
Special feature: highly concentrated land market around major cities

🇨🇭 Switzerland: The inaccessible fortress

Strengths: Absolute political stability, safe-haven currency
Weaknesses: Legal barriers for foreigners, anemic yields
Constraint: Lex Koller drastically limits access for non-residents

🇨🇦 Canada: The North American alternative

Strengths: Sustained population growth, abundant natural resources
Weaknesses: Concentrated Toronto-Vancouver market, climatic risks
Opportunity: Ambitious immigration program (+400,000 residents/year)

Macro-economic analysis 2025: Favourable context

Interest rate environment

The Federal Reserve has maintained its key rates in a range of 5.25-5.50% since July 2023, creating a predictable environment for investors. This stabilization, following the period of aggressive rate hikes in 2022-2023, provides medium-term visibility on the cost of capital.

Impact on land :

Temporary slowdown in transactions (+available cash)
Acquisition opportunities at negotiated prices
Gradual rate cuts expected from Q3 2025 onwards

Buoyant demographic trends

US internal migration creates major investment opportunities. According to the American Community Survey, migration flows in 2024 confirm several trends:

Urban exodus: -2.3% population decline in city centers
Suburban growth: +4.7% on the outskirts of metropolises
Sun Belt: Texas (+470,000 inhabitants), Florida (+380,000), Arizona (+180,000)
Rust Belt: Decline confirmed (New York -180,000, Illinois -120,000)

These movements are creating sustained demand for residential and commercial real estate in growing states.

Technological revolution and land

The boom in telecommuting (35% of eligible jobs in remote locations) is reshaping America's economic geography. Zoom Towns" - small towns attractive to teleworkers - are seeing their land prices soar:

Boise, Idaho: +23% in 2024
Austin, Texas: +18% (suburbs)
Tampa, Florida: +21% (coastal areas)

Advantages of investing in land in the US

🌎 Legal stability and a deep market

The American legal system, based on Common Law, effectively protects private property rights. The land market, with over 2 billion acres available, offers unrivalled liquidity on a global scale. This depth of market guarantees exit opportunities even in times of economic tension.

Legal security :

Mandatory title insurance (100% coverage)
Transparent public land registers
Highly regulated expropriation procedures
A tradition of investor-friendly case law

📈 High profitability in certain segments (up to 25% ROI)

Unlike European SCPIs, which are capped at 3-5% yields, US real estate offers prospects of 12-25%, depending on the segments and strategies deployed. This performance can be explained by several structural factors.

Profitability levers :

Geographical arbitrage: Price differentials between states (1 to 10)
Entitlement: Residential/commercial rezoning (+50 to 200% value)
Subdivision: Strategic parcelling
Market timing: Predictable real estate cycles

🏢 Maximum strategic flexibility

Investing in U.S. real estate allows you to adapt your strategy according to market conditions and personal objectives.

Strategic options :

Short-term flip: Resale 18-24 months
Medium-term holding: Valuation 3-5 years
Ground rent: Long-term leases (agricultural, commercial)
Development: Residential/commercial construction

🌟 Structural tax optimization

Nine American states have no income tax at all: Alaska, Florida, Nevada, New Hampshire, South Dakota, Tennessee, Texas, Washington and Wyoming. This is a major competitive advantage for international investors.

Potential tax savings :

Texas: 0% state tax (vs. 13.3% California)
Florida: 0% state tax + attractive climate
Nevada: 0% state tax + nearby California

✅ Natural inflation coverage

With US inflation stabilizing at around 3.2% at the start of 2025, land is a natural hedge, outperforming government bonds (10Y Treasury at 4.1%). History shows a positive correlation between land and inflation over the long term.

Historical performance vs. inflation (1970-2024) :

Residential land: +6.2% annual average
US inflation: +3.8% annual average
Real: +2.4% annual outperformance

How can you effectively diversify your US land investment portfolio?

1. Strategic geographic distribution

Geographic diversification is the first pillar of a high-performance property portfolio. To optimize the risk/return ratio, it is advisable to combine several countries with contrasting economic dynamics.

Growth States:

Texas: Sustained population growth (+1.9% annual), diversified economy, no state income tax
Florida: Residential appeal, tourism, retirement, excellent short-term yields
Arizona: California migration, competitive cost of living, tech growth (Phoenix)

Value States :

Georgia: Atlanta logistics hub, attractive entry prices, catch-up potential
North Carolina: Research triangle, universities, balanced growth
Tennessee: Nashville boom, Memphis logistics, favorable tax situation

specialized :

Colorado: Outdoor lifestyle, legal cannabis, tech Denver
Utah: Record population growth, stable Mormon economy

2. Optimized land mix

A balanced real estate portfolio combines different types of assets according to an allocation adapted to the investor's profile and market conditions.

Typical distribution (balanced profile) :

40% Residential: Developable land on urban fringe
30% Commercial: Logistics zones, retail, offices
20% Agricultural: Arable land, ranches, sustainable farming
10% Specialized: Occasional opportunities (industrial, recreational)

Residential lots in expansion zone

The American suburbs are experiencing sustained growth, fuelled by the post-COVID urban exodus and the democratization of telecommuting. Serviced land on the outskirts of metropolises (15-45 minutes from the city center) offers the best value potential.

Selection criteria :

Close to planned public transport
Top-rated public schools (GreatSchools.org)
Developing local shops
Limited municipal land reserves

Strategic commercial lots

E-commerce is disrupting retail real estate, but also creating new opportunities, particularly in last-mile logistics and hybrid spaces (showrooming, click & collect).

Growth sectors 2025-2030 :

Logistique urbaine : Entrepôts <50 000 sf près des centres
Budget hotels: Extended stay, business travel
Local shops: Food, services, health

Agricultural land: ESG investment

US agriculture, the world's leading sector by value, offers stable returns (3-8% annual) with a positive ESG impact. The scarcity of arable land (+2% world population vs. +0.1% arable land) supports long-term valuations.

Recommended typology :

Corn Belt: Illinois, Iowa, Indiana (corn-soybean rotation)
Great Plains: Kansas, Nebraska (wheat, cattle)
California: Specialized crops (almonds, grapes, vegetables)

Property taxation for international investors

The U.S. tax system for international real estate investment is complex, but offers substantial opportunities for optimization for well-informed investors.

Federal tax framework

Income from property investment in the United States is subject to U.S. federal income tax, depending on the taxpayer's status. The tax rate generally varies from 15% to 37%, depending on the income bracket and the nature of the gains (ordinary vs. capital gains).

Tax rate 2025 :

Plus-values court terme (<1 an) : Taux marginal ordinaire (jusqu’à 37%)
Long-term capital gains (>1 year): 0%, 15% or 20% depending on income
Rental income: Ordinary marginal rate with possible deductions

💡 Convention France-USA : Avoiding double taxation

Thanks to the bilateral tax treaty between France and the United States, French investors benefit from a tax credit on amounts already paid in the United States, thus avoiding any double taxation. The treaty, revised in 1994 and amended in 2009, includes specific provisions for real estate.

Tax credit mechanism :

US tax paid = credit in France
Limited to the corresponding amount of French tax
Surplus credits can be carried forward (5 years)

Conventional rates :

Capital gains on real estate: Taxation in the country where the property is located
Rental income: US 30% withholding tax (reducible to 0% if declared)

📊 Possible deductions and optimizations

U.S. law allows numerous deductions that substantially reduce the tax base of property investments.

Current deductions :

Management costs: property management, accounting, legal
Depreciation: improved land, buildings (27.5 years residential, 39 years commercial)
Loan interest: unlimited deductibility for investments
Professional expenses: travel, training, consulting
Maintenance: repairs, upkeep, improvements

Structural optimization :

Section 1031 Exchange: Tax deferral on capital gains (exchange of similar assets)
Opportunity Zones: partial/full exemption subject to conditions
Installment Sale: Spreading capital gains over several years

State taxation: major disparities

The lack of tax harmonization between countries creates significant trade-offs for international investors.

States with no income tax (0%): Alaska, Florida, Nevada, New Hampshire, South Dakota, Tennessee, Texas, Washington, Wyoming
Moderate-tax states (1-6%): Arizona (2.5-4.5%), Colorado (4.4%), Georgia (1-5.75%), North Carolina (4.75%)
High-tax states (>10%): California (1-13.3%), New York (4-10.9%), New Jersey (1.4-10.75%)

Concrete impact: An investor realizing $100,000 in long-term capital gains :

Texas: $15,000 federal tax only
California: $15,000 federal + $13,300 state = $28,300 total

Case studies : Concrete examples of successful land investments in the US

🔹 Residential project - Texas (Abilene)

Investor profile: 45-year-old Parisian entrepreneur looking to diversify his assets

Operation carried out :

Acquisition: 4,000 m² raw land in Abilene, Texas - $38,000
Strategy: Servicing + agricultural zoning → residential
Timeline: 24 months of administrative procedures
Exit: Resale to local developer - $84,000

Financial performance :

Gross ROI: 121% over 24 months (42% annualized)
Ancillary costs: $12,000 (lawyer, surveyor, municipal fees)
Net ROI: 89% (34% annualized)

Success factors :

Optimum timing: before announcing a new residential development
Local expertise: Texas architect-urban planner partnership
Administrative patience: rezoning procedures respected

🔹 Airbnb opportunity - Florida (Tampa Bay)

Investor profile: Belgian consulting couple, aged 38 and 42

Operation in progress :

Acquisition: Lot 1 800 m² in Tampa, 15 min from the beaches - $95 000
Development: Construction of a high-end tiny house (85 m²)
Total budget: $180,000 (land + construction + furnishings)
Business model: short-term rental (Airbnb, VRBO)

Operating performance :

Average rate: $185/night (high season), $120/night (low season)
Occupancy rate: 75% annual average (85% winter, 65% summer)
Gross revenue: $48,000/year
Expenses: $15,000/year (management, maintenance, insurance, tax)
Net return: 8.2% on capital invested

Special features in Florida :

Full-year tourist appeal
Favorable Airbnb regulations (vs. other restrictive states)
Tight rental market (demand > supply)

🔹 Agricultural portfolio - Midwest (Iowa)

Investor profile: Swiss family office, alternative allocation 15%.

Strategy deployed :

Acquisition: 3 Iowa farms (240 ha total) - $2.4 M
Farming: Lease with local farmers
Duration: Minimum investment 10-15 years

Cash yield :

Annual rents: $180,000 ($750/ha/year)
Yield: 7.5% on capital + land appreciation
Appreciation: +4.2% annual average (10-year history)

ESG benefits :

Positive carbon impact (CO2 sequestration)
Global food security
Sustainable agriculture (crop rotation)

🔹 Business development - Arizona (Phoenix)

Investor profile: French SCPI specialized in retail

Project in progress :

Acquisition: 2 ha commercial zoning, Phoenix highway exit - $450,000
Development: Strip mall + petrol station + drive-through
Total budget: $1.8 M (construction + marketing)
Pre-marketing: 80% of floor space leased before delivery

Business plan :

Rental income: $220,000/year at maturity
Stabilized yield: 12.2% on cost price
Exit valuation: $2.5-3 million (cap rate 7-8%)

Technical guide: Step-by-step due diligence

Due diligence is the critical stage in any real estate investment. A rigorous methodology enables us to identify opportunities and avoid pitfalls.

Phase 1: Preliminary analysis (Week 1-2)

1.1 Title verification

Search Title Company
Property history (minimum 10 years)
Active and passive easements
Current mortgages and liens

1.2 Zoning and regulations

Current classification (residential, commercial, agricultural, industrial)
Rezoning options (cost, time, probability of success)
HOA (Homeowners Association) restrictions
Right of way, public utility

1.3 Geographical location

Exact GPS coordinates
Road access and public transport
Close to shops, schools, hospitals
Planned infrastructure projects (roads, metro, airport)

Phase 2: In-depth market research (Week 3-4)

2.1 Comparative analysis

Recent sales similar land (5-10 km radius)
Price per m² or acre according to use
Observed time-to-market
Buyer profile (individuals, developers, investors)

2.2 Demographics and local economy

10-year population trend (Census Bureau)
Median income and trends
Unemployment rate vs. national average
Main employers in the region

2.3 Competing offers

Stock of similar land available
Current development projects
Local market absorption capacity
Seasonality (tourism, agriculture)

Phase 3: Technical and environmental aspects (Week 5-6)

3.1 Topographical survey

Certified surveyor's survey
Slope, exposure, natural drainage
Exact property limits
Existing buildings Condition

3.2 Environmental analysis

Phase I Environmental: History of polluting activities
Wetlands: Federally protected wetlands
Endangered Species: Protected species habitat
Flood Zone: Flood risk (FEMA maps)

3.3 Services and connections

Electricity (network distance, capacity)
Drinking water and wastewater disposal
Natural gas if required
Telecommunications (fiber optics)
Estimated connection costs

Phase 4: Complete financial analysis (Week 7-8)

4.1 Acquisition costs

Negotiated land price
Notary and legal fees (2-3% of price)
Title insurance (0.5-1% price)
Transfer taxes by state
Professional due diligence

4.2 Annual carrying costs

Property tax (0.5-2% value depending on county)
Liability insurance
Minimum maintenance (fencing, signage)
Remote administrative management

4.3 Recycling scenarios

Conservative scenario: +5% p.a., resale 36 months
Central scenario: +8% annual growth possible
Optimistic scenario: Successful rezoning, +25% value

Phase 5: Legal and contractual validation (Week 9-10)

5.1 Acquisition structure

Direct acquisition vs. via LLC
International tax optimization
Legal asset protection
Transmission to heirs if relevant

5.2 Final negotiation

Conditions precedent (financing, permits)
Vendor warranties (title, environment)
Property transfer calendar
Late delivery penalties

Final validation checklist for a successful property investment in the US:

✅ Title insurance confirmed ✅ Survey boundaries validated ✅ Zoning conformity verified
✅ Environmental clear ✅ Utilities access confirmed ✅ Financing arranged ✅ Legal structure optimized ✅ Exit strategy defined

Risks and mitigation strategies

Despite its strengths, investing in US real estate presents specific risks that need to be identified and mitigated to preserve portfolio performance.

Macro-economic risks

Interest rate fluctuations

Impact: Change in financing costs and real estate demand Mitigation:

Long-term fixed-rate financing whenever possible
Diversification of investment maturities
Monitoring Fed policy and anticipating reversals

Currency volatility (USD/EUR)

Impact: Change in yield expressed in local investor currency Mitigation :

Partial currency hedging (50-70% exposure)
USD local financing for natural hedge
Time diversification investments

Regulatory and political risks for land investment in the US

Tax changes

Impact: Modification of capital gains taxation, deductions, international conventions Mitigation :

Ongoing regulatory watch
Flexible structuring for adaptability
Relationships with specialized tax lawyers

Foreign ownership restrictions

Impact: Limitation of acquisition rights in certain states/sectors Mitigation:

Regulatory analysis by state
Structuring via US entities if necessary
Geographic portfolio diversification

Local market risks

One-off offers

Impact: Downward pressure on prices, longer lead times Mitigation:

Analysis of historical local real estate cycles
Avoiding overdeveloped markets
Maintaining cash reserves Counter-cyclical opportunities

Unfavorable demographic trends

Impact: Stagnation of demand, depreciation of assets Mitigation:

Focus States sustained demographic growth
Monitoring leading indicators (building permits, migration)
Exit strategy flexible to changing trends

Operational risks

Remote management

Impact: Insufficient monitoring, hidden costs, maintenance problems Mitigation:

Experienced local management partnership (LandQuire)
Regular structured reporting
Scheduled annual field visits

Land disputes

Impact: Development blockage, legal costs, depreciation Mitigation:

Comprehensive due diligence (in-depth title search)
Comprehensive title insurance
Legal provision 2-3% value

Environmental risks

Soil contamination

Impact: Clean-up costs, restrictions on use, liability Mitigation :

Environmental Phase I systematic mandatory
Historic industrial land excluded
Exposure-based pollution insurance

Climate risks

Impact: Devaluation of risk zones (flood, fire, hurricane) Mitigation:

Avoid flood zones FEMA
Long-term climate trend analysis

👉 Contact a LandQuire land expert to define your personalized strategy

👉 S ee our current projects in land investment in the US

Disclaimer: Past performance is no guarantee of future results. Any investment carries a risk of capital loss. Please consult your advisor before investing.